Price benchmarking should be used as a constructive tool to align the commercials and underlying drivers to market norms. However, if not carried out in a structured and well-thought-out way it can also lead to significant value erosion.
This report explains a systematic approach for HRO price benchmarking. It covers:
- Typical pricing metrics in HRO processes
- Complexities in price benchmarking of HRO services
- Suggested benchmarking approach
- Best practices to follow